Las Vegas Business Press : Cautious planning drives tech success

Cautious planning drives tech success

By Valerie Miller, Staff Writer

Nearly a decade ago, in the middle of the Arabian Peninsula, Michael Beardslee and Michael Marriott crossed paths.

That chance desert meeting planted the seeds for what is today known as IT Strategies International, a Las Vegas-based computer consulting firm and one of just a handful of homegrown technology success stories.

Founded with $50,000 borrowed from Beardslee's mother, IT Strategies now touts annual revenue of $3.6 million. While its $10,000 profits are still slight, Marriott, IT's executive vice president, said that is due mostly to active reinvestment in the company.

So, what separates IT Strategies International from the rest of the local tech pack, where short-circuited dreams are a rule rather then the exception?

"We were scratching our heads because Purchase Pro was growing by leaps and bounds," Marriott said, referring to the now-struggling Las Vegas company. "Our growth was slow, but steady, over the last five years. We didn't bite off more than we could chew by trying to staff huge accounts."

The company founders shared other secrets to their success.

"We are the only truly local computer consulting firms," Marriott said. "There are three or four that we consider competition that have offices here."

"We can be there in two minutes if there's a problem," chimed in Beardslee, IT's president. "Clients don't have to call out of state."

Watching the bottom line is also vital, he added. "We don't have plush offices at the top of the Hughes Tower, but we pay our consultants very well and our rates are competitive."

How it began
Officially formed in August 1996, the two men had discovered years before that their similar, yet differing, backgrounds made for a good mix.

"Michael (Beardslee) and myself both have backgrounds in computer consulting, and we met while we were working for the same company in Saudi Arabia (in 1993)," Marriott said. "But now I handle the marketing and he handles the financial end."

After teaming up in Saudi Arabia to help some companies with consulting needs, the Michaels thought they were on to something. They were soon seeking a home for their brain child.

"My wife came to Las Vegas first to scout it out while Michael Beardslee and myself were still in Saudi Arabia," Marriott recalled. "We did some limited research, and it didn't seem like there were a lot of computer consulting companies here. Michael and I had experience with places like L.A. and Chicago, which were already saturated."

Other factors also came into play in the duo's selection of Southern Nevada.

"The economy was red hot then, and we both like the idea of living here," Marriott said.

IT Strategies has had to weather a few sandstorms in its first 5 1/2 years. Las Vegas is not exactly a technology oasis, Beardslee freely admitted.

"We discovered that Las Vegas is a little more of a relationship town than we thought," he said. "We faced some of the same challenges that any other area company would - trying to attract good people. Las Vegas lags behind other cities in terms of the use of technology."

Although that condition is improving, there's still a long ways to go, Beardslee added. The company currently has about 35 employees, with about half being local recruits.

"There is obviously not enough locally," he continued. "We have found that we have to recruit nationally, but it has gotten better." The company recently hired three UNLV graduates.

What recession?
While the economy hasn't gotten better of late, business for IT Strategies is none the worse for wear, Marriott said.

"Every time there is an economic downturn, consulting businesses do very well, because companies don't have to hire someone and lay them off in a few months," he said.

Some of IT Strategies' big clients include the Palms Hotel & Casino, the Las Vegas Valley Water District, the Clark County School District, the city of Las Vegas and Clark County.

Now in their sixth year, IT Strategies' founders said they have no regrets about gambling on Las Vegas.

"

We'd do it again in a heartbeat," Beardslee said.

Marriott added that IT Strategies will soon be hiring two or three more consultants and is planning on opening an office in Reno in the next six months. The company's 4550 W. Oakey Blvd. office Las Vegas serves as the corporate headquarters.

Growth, however, will remain measured.

"It's like the tortoise and the hare," Marriott said. "It takes time."

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